What does BKR mean in MORTGAGE

BKR stands for BanKRuptcy, which is a legal process that helps individuals or businesses in financial distress discharge their debts and reorganize their finances.

Bankruptcy works by allowing the debtor to either liquidate their assets to pay back creditors, or create a payment plan with creditors to repay the debt over time.

The advantages of filing for bankruptcy include stopping harassing phone calls from creditors and debt collectors, preventing foreclosure proceedings against your home, and giving you more time to pay off past due bills.

Other options besides bankruptcy include consumer credit counseling services, debt settlement, and consolidating your debts into one loan with lower payments overall.

After you file for bankruptcy, all collection efforts must stop until the court determines how much of your debt can be discharged and what debts will remain unpaid. Once this determination has been made, all discharged debts are released with no further responsibility on your part and any remaining debts must still be paid off as ordered by the court.